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Paychex, Inc. Just Raised Its Paycor Synergy Target to $100 Million—Can Management Actually Deliver It by 2026?

Paychex, Inc. presented a quarter where reported growth was meaningfully supported by the Paycor acquisition and by operating discipline, while several underlying demand signals pointed to a more cost sensitive customer environment. Management emphasized progress on integration execution, citing cost synergy expectations lifted to approximately $100 million for fiscal 2026 versus an earlier $80 million target, alongside revenue synergy progress and solid client retention in the acquired base. In the Q and A, the company indicated that, on its internal pro forma view, Paycor grew roughly 8 percent to 9 percent, with results influenced by the acquired business’s seasonality around year end processing fees and by the practical limits of isolating Paycor after integration into the broader enterprise segment.